Frankel's Tale Puts Focus
On What Regulators Knew

NASHVILLE, Tenn. -- If vanished financier Martin Frankel has masterminded a huge insurance heist, he did it all under the nose of state regulators.

Insurance regulators in Tennessee for at least six years were aware of unusual trading activities at Frankel-controlled insurers -- including purported trades of Treasury bonds that typically totaled more than 90 times the total assets of the companies each year -- according to interviews...